U.S. arrests British cybersecurity researcher who tackled WannaCry

Regina Garcia Cano and Danica Kirka, Associated Press

August 4, 2017

Photo: Frank Augstein, STF

FILE - This Monday, May 15, 2017, file photo shows British IT expert Marcus Hutchins, branded a hero for slowing down the WannaCry global cyberattack, during an interview in Ilfracombe, England. On Friday, Aug. 4, 2017, a computer law expert described the evidence so far presented to justify Hutchins' arrest in Las Vegas earlier in the week for allegedly creating and selling malicious banking software, as being problematic. (AP Photo/Frank Augstein, File)

FILE - This Monday, May 15, 2017, file photo shows British IT...

LAS VEGAS - The U.S. arrest of a young British cybersecurity researcher is raising major concerns among information security specialists, leading some to warn it could limit cooperation between the U.S. government and computer experts needed to help fight off future cyberattacks.

Marcus Hutchins was arrested in Las Vegas on Wednesday for allegedly creating and selling malicious software able to collect bank account passwords.

Many in the security community rallied behind the 22-year-old British hacker, whose quick thinking helped control the spread of the WannaCry ransomware attack that crippled thousands of computers around the world in May.

Others reserved judgment as they waited for more evidence that might justify his prosecution.

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Computer law expert Tor Ekeland described the evidence so far as flimsy.

"This is a very, very problematic prosecution to my mind, and I think it's bizarre that the United States government has chosen to prosecute somebody who's arguably their hero in the WannaCry malware attack and potentially saved lives and thousands, hundreds of thousands, if not millions, of dollars over the sale of alleged malware," Ekeland said. "This is just bizarre; it creates a disincentive for anybody in the information security industry to cooperate with the government."

Hutchins, who worked for Los Angeles security firm Kryptos Logic, was detained in Las Vegas as he was returning to his home in southwest Britain from Def Con, an annual gathering of hackers and information security gurus.

A grand jury indictment charged Hutchins with creating and distributing malware known as the Kronos banking Trojan.

He was scheduled to appear at a Friday afternoon court hearing after two nights spent at a local lockup.

The indictment, filed in a Wisconsin federal court last month, alleges that Hutchins and another defendant - whose name was redacted - conspired between July 2014 and July 2015 to advertise the availability of the Kronos malware on internet forums, to sell the malware and to profit from it.

The indictment also accuses Hutchins of creating the malware.

The problem with software creation, however, is that often a program can include code written by multiple programmers. Prosecutors might need to prove that Hutchins wrote code with specific targets.

U.S. Justice Department officials on Friday declined to answers questions.

The FBI's Milwaukee field office, which led the two-year investigation, didn't return requests for comment.

Ekeland said it is notable the indictment doesn't allege any financial loss to any victims - or identify them. Besides that, laws covering aspects of computer crime are unclear, often giving prosecutors broad discretion.

"The only money mentioned in this indictment is ... for the sale of the software," he said. "Which again is problematic because in my opinion of this, if the legal theory behind this indictment is correct, well then half of the United States software industry is potentially a bunch of felons."